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6 Your right to work

All people, including older people, have the right to work. This chapter explains your right to work and describes the supports available to help you find work and stay working.

6.1 Age discrimination in employment

Older people have the right to continue working without being discriminated against because of their age.

Age discrimination in the workplace occurs if a person is treated less favourably than another person in a similar situation because of their age.

Examples of age discrimination in employment include:

  • Being refused training by an employer because it is assumed you will retire soon;
  • Not being considered for a job because it is assumed you don’t have up-to-date skills; and
  • Older employees being targeted for redundancies.

In most cases, it is against the law to treat older people differently because of their age.

Discrimination can be lawful in some circumstances. These include when acts are done to comply with Commonwealth, state or territory laws; or when a person’s age means they are unable to perform the essential duties of a job.

Where to go for more information

Read the Australian Human Rights Commission’s guide, Know your rights: Age Discrimination. To order the guide, phone the Commission on 1300 369 711.

Where to go for help or to make a complaint

If you experience discrimination in employment you may be able to make a complaint.

The Australian Human Rights Commission can investigate the complaint and try to resolve it by conciliation. Call the Complaint Infoline on 1300 656 419.

Contact the Fair Work Commission on 1300 799 675 for more information or visit their website at www.fwc.gov.au.

Fair Work Australia can also hear complaints relating to discrimination in employment. Call the Fair Work Infoline on 13 13 94 or visit their website at www.fairwork.gov.au.

6.2 Job seeker services

A number of services are available to help you find work.

Job Services Australia is a national network of private, community and government organisations that can help eligible job seekers find work. They offer assistance with writing a resume and can help you develop a plan to find a new job or retrain for a new profession.

Employers also use the internet to find staff. Some websites are especially designed for older job seekers.

Where to go for more information

Phone the Department of Education, Employment and Workplace Relations (DEEWR)’s Experience+ Jobs and Training Line on 13 17 64 to access information about jobs and training for people aged 45 and older and for free professional career advice. You can also order a copy of the Experience+ Career Guide for Mature Australians. For more detailed information visit the Experience+ website at www.deewr.gov.au/experience.

Contact the Department of Education, Employment and Workplace Relations (DEEWR) Employment Services Information Line on 13 62 68 for general information. The Employment Services Information Line provides information on Job Services Australia providers and Australian JobSearch. If you are unhappy with your Job Services Australia provider you can make a complaint on 13 62 68.

Visit Australian JobSearch at www.jobsearch.gov.au to search online for a job.

Visit www.olderworkers.com.au to search online for a job with an age-friendly employer.

 

6.3 Education and retraining programs to help you find work

Learning new skills can help you to go further in your career or even begin a new career. You can learn new skills through enrolling in a short course, a vocational education course such as a TAFE course or a higher education degree. Even if you already have a qualification, you may decide to work towards another, targeting your efforts to a changing work environment or to a new career more suited your later life work plans.

It’s never too late to learn new things. Older people have exactly the same right to education as younger people. You might think that training institutions and universities are places for younger people, but this is not the case.

You may be eligible for Austudy, which is a Centrelink payment to provide you with financial support while you study.

There are many Universities, Registered Training Organisations (RTOs) Vocational and Education Training (VET) providers and Technical and Further Education (TAFE) providers across Australia.

Where to go for more information

For information on financial support when you study call Centrelink on 13 24 90 or go to www.humanservices.gov.au for more information.

Where to go for help

For career advice and information on accessing further education, phone the Experience+ Jobs and Training Line on 13 17 64.

6.4 The Age Pension and work

It is possible to work and still receive the Age Pension. However, there are limits on how much income you can earn before your pension is reduced.

Once you are eligible for the Age Pension, the amount you receive will depend on your income and assets. The income from your work and any other source will be used in the ‘income test’ to calculate your Age Pension. You are able to earn up to a certain amount per week with no effect on your payment. Any income above this amount will reduce your payment by 50 cents for singles and 25 cents for each member of a couple for each dollar of income.

You may also have access to the Work Bonus which will increase the amount of employment income you can earn before your payment is reduced. See chapter 6.5 for more information on the Work Bonus.

Where to go for more information

Centrelink’s Financial Information Service (FIS) can give you information about retirement income options. Phone 13 23 00 and ask to speak to FIS officer. Visit www.humanservices.gov.au for more information on the Age Pension and work.

Where to go for help

Speak to a financial adviser about the balance between working and claiming the Age Pension that works best for you. For help finding a financial planner you can contact:

  • The Financial Planning Association on 1300 626 393;
  • The Association of Financial Advisers on 02 9267 4003; or
  • CPA Australia on 1300 73 73 73.

6.5 The Work Bonus

The Work Bonus is an incentive that allows recipients of Age Pension to work for short periods of time with little or no effect on pension payments.

The Work Bonus lets you earn up to $6 500 each year without impacting on your Age Pension. There are rules about how much you can earn each fortnight without impacting on your Age Pension payment. Make sure you talk to a Financial Information Services officer at Centrelink to find out how the Work Bonus can be used to your best advantage.

Where to go for more information

Centrelink’s Financial Information Service (FIS) can give you more information about working while receiving the Age Pension. Phone 13 23 00 and ask to speak with a FIS officer. Visit www.humanservices.gov.au for more information on the Work Bonus.

Where to go for help

Speak to a financial adviser about the balance between working and claiming the Age Pension that works best for you. For help finding a financial planner you can contact:

  • The Financial Planning Association on 1300 626 393;
  • The Association of Financial Advisers on 02 9267 4003; or
  • CPA Australia on 1300 73 73 73.

 

6.6 Superannuation entitlements while working

At a certain age you have the right to access your superannuation while you are still working. The age at which you can access your superannuation depends on the year you were born. The superannuation access age is known as your ‘preservation age’. Your preservation age is between 55 and 60 years. See chapter 4.4 to find out when you can access your superannuation.

Once you have reached your preservation age, you can access part of your superannuation as you work by drawing it as a regular payment to supplement your wages. You can also pay part of your salary back into your superannuation fund.

This process is sometimes called transitioning to retirement.

If you are aged 65 or under and still working, you can withdraw up to a maximum of 10 percent of your superannuation account balance each financial year as part of this scheme. Check with your superannuation fund to find out if it offers a transition to retirement option. You may need to change funds if you want to access this option, as not all funds allow you to do this.

The rules for transitioning to retirement are complex. You should seek financial advice if you are thinking about taking up this option.

Remember that your superannuation savings are limited by the amount you have saved. If you take out money earlier, you may have less for later in life.

The pros and cons of transitioning to retirement are explained in the booklet, Financial Decisions at Retirement, produced by ASIC’s MoneySmart. You can view this booklet on ASIC’s MoneySmart website www.moneysmart.gov.au or order a copy by calling the ASIC Infoline on 1300 300 630.

Where to go for more information

Contact your superannuation fund to find out the options that are available to you.

Contact the Australian Taxation Office Superannuation Info Line for more information about when you are allowed to access your superannuation. Phone 13 10 20.

Speak to the National Information Centre for Retirement Investments (NICRI) about transitioning to retirement on 1800 020 110.

Visit ASIC’s MoneySmart website at www.moneysmart.com.au or read their booklet, Financial Decisions at Retirement. Order a copy by calling the ASIC Infoline 1300 300 630.

Where to go for help

Speak to a financial adviser about whether accessing a superannuation pension while working would suit you. For help finding a financial planner you can contact:

  • The Financial Planning Association on 1300 626 393;
  • The Association of Financial Advisers on 02 9267 4003; or
  • CPA Australia on 1300 73 73 73.